Goodman Group (GMG)

Integrated property company
Goodman Group
has announced its entry into the US market with the purchase of the California-based Birtcher Development & Management Company. The property investment/development and funds management group has also agreed on commercial terms with a capital partner to form a 50/50 $US1.5 billion development-led partnership. The stock has endured a roller-coaster month, but is now trading 14 per cent up from its June low of $3.22, bringing total return for the year so far to 18.6 per cent. Analysts like the stock – nine say “buy" or “accumulate" and only one has called a “sell". Goodman will provide development, property and funds management services for the new investment partnership. Deutsche Bank is indicating a break-even result next year for the project, but 2-3 per cent EPS accretion over fiscal 2014 to 2016. Goodman stock could move this week after it updates the market in its analyst briefings.